Outsourcing firm Cognizant drops after cutting sales forecast

Cognizant Technology Solutions, a provider of consulting and outsourcing services, dropped as much as 11 percent in early trading after cutting its full-year sales and earnings forecasts.

Earnings this year will rise to at least $3.36 a share on sales of $7.34 billion or more, Cognizant said in a statement today. In February, the Teaneck, New Jersey-based company projected profit of at least $3.43 a share and sales of $7.53 billion.

The stock fell as low as $62.10 in early trading after closing at $69.66 on May 4. Before today, the shares had risen 8.3 percent this year.

“Due to a slower than anticipated acceleration in demand as we entered the second quarter, we are adopting a more conservative stance for the remainder of the year,” Chief Executive Officer Francisco D’Souza said in the statement.